DOLE FOOD COMPANY, INC. ANNOUNCES COMPLETION OF THREE ASSET SALE TRANSACTIONS
WESTLAKE VILLAGE, California - July 09, 2008
Dole Food Company, Inc. today announced that it has closed three asset sale transactions within the past three weeks that have generated approximately $100 million in cash to Dole and that were part of Dole's previously announced asset sale program. The proceeds have been used to pay down Dole's term bank debt ($34 million) and revolving bank debt ($66 million). These sales bring Dole's total asset sales for 2008 to date to approximately $135 million.
The most recent asset sales included approximately 2,000 of Dole's 28,000 acres on the island of Oahu, Hawaii, the Miami headquarters building of Dole's Fresh Flowers division, and approximately 4,300 acres of California orchards that had been owned by entities in which Dole had a combined stake of approximately 65%.
"Dole is pleased to have completed the three all-cash asset sales at favorable prices. We anticipate that we will complete additional significant asset sales in 2008, the proceeds of which will also be used to pay down debt," said David A. DeLorenzo, President and CEO of Dole.
Dole, with 2007 net revenues of $6.93 billion, is the world's largest producer and marketer of high-quality fresh fruit and fresh vegetables and is the leading producer of organic bananas. Dole markets a growing line of packaged and frozen foods and is a produce industry leader in nutrition education and research.
This release contains "forward-looking statements," within the meaning of the Private Securities Litigation Reform Act of 1995 that involve a number of risks and uncertainties. Forward looking statements, which are based on management's current expectations, are generally identifiable by the use of terms such as "may," "will," "expects," "believes," "intends," "anticipates" and similar expressions. The potential risks and uncertainties that could cause actual results to differ materially from those expressed or implied herein include weather-related phenomena; market responses to industry volume pressures; product and raw materials supplies and pricing; energy supply and pricing; changes in interest and currency exchange rates; economic crises and security risks in developing countries; international conflict; and quotas, tariffs and other governmental actions. Further information on the factors that could affect Dole's financial results is included in its SEC filings, including its Annual Report on Form 10-K.